Readers will not be surprised to learn that spending on total advertising in Japan fell by 4.7% in 2008 to JPY6,693 billion (c. US$68 billion) Advertising Age

However there is a significant “mix” effect at play in these numbers as it is not all doom and gloom. Whilst traditional media like newspapers dropped significantly -12.5% (and in decline for some years), TV -4.4%, internet advertising grew by a stellar 16%.

Already internet advertising accounts for around 15% of total ad expenditure in Japan, one of the highest in the world.

For agencies like Dentsu, whose business is based on traditional models of commissions and “owned” TV programmes, the world where more and more clients negotiate directly with media owners, whether they be traditional and digital, has become reality.